Over the past 10 years, cell phones have increasingly become an integral part of everyday lives so one would think established phone vendors like RIM, Motorola and Nokia would thrive. However, instead of capitalizing on this growth, these firms have failed to innovate, and as a result paid a heavy price as new comers such as Apple and Google stole most of the market share. This year, RIM posted its first sub-1 billion dollar quarterly revenue and its new Q10 and Z10, failed to challenge Apple and Samsung in the consumer hardware market. Being incompatible with older Blackberry servers installed at many firms, RIM even managed to alienate its last stronghold, the corporate market. Facing ever declining market share, RIM’s new CEO is betting on the Blackberry’s old revenue stream, paid services like BBM. But once again, RIM is relying on an outdated business model. as many services are available on competing devices that are not only free. As a result many corporate have migrated from Blackberry. Therefore, RIM cannot hope to survive by revisiting old revenue streams or those of competitors. RIM must realize competitive advantages do not last, and that must innovate and find a new business model.